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boyakko [2]
3 years ago
10

Loni owns a software company and has a great idea for a new app. In order to build the app, she will need to hire a computer exp

ert for one year at a salary of $87,000. (Assume this is the only expense required to create this app.) However, she expects to make $99,000 by selling the app. Since Loni does not have any extra cash on hand, she goes to the bank, where they offer to lend her $87,000 with an annual interest rate of 15%. Should Loni take the loan and build the app?
Business
1 answer:
never [62]3 years ago
6 0

Answer:

No, Loni should not take the loan and build the app.

Explanation:

If she borrows $87,000 to build the app, at the end of the year she will have to pay $87,000 x (1+0.15) = 100,050 in principal and interest to the bank.

After selling the app she will get 99,000 - 100,050 = $1,050.

In other words, she will be making a loss.

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economists argue that rent control is a highly efficient way to help the poor raise their standard of living.
mote1985 [20]

Economists argue that rent control is a highly efficient way to help the poor raise their standard of living. The statement is False.

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An economist refers an individual who possesses deep knowledge about the connection between the production that takes place with the help of resources and the output received to determine the growth.

Rent control is a highly efficient way to help the poor raise their standard of living is False. The quantity of legal rise would be limited by rent control, and most landlords support these rules.

Therefore, the statement is False.

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economists argue that rent control is a highly efficient way to help the poor raise their standard of living. True/False.

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2 years ago
You are due to receive a lump-sum payment of $1,350 in four years and an additional lump-sum payment of $1,450 in five years. As
FrozenT [24]

Answer:

2560.50

Explanation:

For bond valuation, the investor would be willing to pay, at the most, the present value of the future income stream discounted at 2%. Thus, the value of the bond can be determined as follows:

Years  1 2 3 4 5 Total  

Principal              1,350 1,450 2,800  

Interest  0    0      0      0       0        0  

Total inflow 0 0  1,350 1,450 2,800  

[email protected]% 0 0 0  1,247 1,313 2,561

8 0
3 years ago
An engineering firm wrote a new policies and procedures manual that helped everyone know exactly what to do and how to do it. Wh
defon

Answer:

The correct answer is: the cost of it.

Explanation:

To begin with, knowing that planning, organizating, controling and directing are the basis of an structured company in order to achieve efficiently those there is a cost that has to be done, therefore that the major drawback of becoming more structured in the company is the cost of doing it, due to the fact that creating documents and teaching every one how to use it and more, the costs of the company will increase as well as the company will become more structured.

3 0
4 years ago
Read 2 more answers
Suppose you sell a fixed asset for $99,000 when its book value is $75,000. if your company's marginal tax rate is 39 percent, wh
strojnjashka [21]

Determining Depreciation Recapture.

Sale Value = $99,000

Less: Adjusted basis(book value) = ($75,000)

Depreciation recapture = $24,000

So Depreciation recapture = $24,000

The marginal tax rate is the amount of additional tax paid for each additional dollar earned in income. The average tax rate is the total tax paid divided by total income. A marginal tax rate of 10% means that 10 cents from the next dollar you earn will be tax deductible.

In taxation, a tax rate is a rate at which a company or individual is taxed. There are several ways to express tax rates, including statutory, average, marginal, and effective. These tax rates can also be presented using different definitions (inclusive and exclusive) that apply to the tax base.

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3 0
2 years ago
Creating a different and unique product is called a
polet [3.4K]

Answer:

Product Differentiation

Explanation:

This is simply a strategy used by marketers to make their product different from that of their competitors.

Product Differentiation aims to make a product different so that potential buyers would identify the uniqueness of the product from other similar products.

4 0
3 years ago
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